Employers may not have to pay workers who receive tips the federal or state minimum wage. However, this only applies to workers who receive more than $30 a month in tips. In addition, the tipped workers must be given a wage equal to the minimum wage when their wages and tips are put together.
In states where employers are not required to provide a minimum wage, tipped workers may be paid as little as $2.13 an hour under federal law. In the state of California, tipped workers must be paid a minimum wage in addition to the tips that they receive. Many states have minimum wages between the $2.13 minimum and the federal minimum wage for all other workers. Workers can contact the Department of Labor to find out how Indiana law applies to them.
Workers who work more than 40 hours a week or spend time in required training must also be compensated according to state wage laws. Nonexempt employees must be paid 1.5 times their typical wage, and this may include tipped workers. Workers who are going through mandatory training must be paid for that training and may also be compensated for travel time if the training is off-site.
Workers who are not paid according to state and federal wage laws may wish to seek out an employment law attorney. An attorney might obtain compensation for workers in the form of back pay and punitive damages. Workers may also be entitled to some or all of their benefits if they are reinstated after wrongful termination due to making an unpaid-wage claim. Depending on the circumstances of the case, it may be possible to settle it in a favorable manner outside of court.
